New residential homes are shown under construction in Carlsbad, California September 19, 2011. (Photo: Reuters)

The U.S. Census Bureau said construction spending was estimated at a seasonally adjusted annual rate of $1,253.3 billion, up 0.7% (±1.0%) from the revised November estimate of $1,245.1 billion. The gain is 2.6% (±1.3%) higher than the December 2016 estimate of $1,221.6 billion, and follows another solid 0.8% gain in November.

The value of construction in 2017 was $1,230.6 billion, up 3.8% (±1.0%) from the $1,185.7 billion spent in 2016.

Private Construction Spending

Spending on private construction was at a seasonally adjusted annual rate of $963.2 billion, 0.8% (±1.2%)* higher than the revised November estimate of $955.9 billion. Residential construction was at a seasonally adjusted annual rate of $526.1 billion in December, up 0.5% (±1.3%)* from the revised November estimate of $523.8 billion.

Nonresidential construction was at a seasonally adjusted annual rate of $437.1 billion in December, or 1.1% (±1.2%)* higher than the revised November estimate of $432.1 billion. The value of private construction in 2017 was $950.7 billion, 5.8% ( ±1.0%) above the $898.7 billion spent in 2016.

Public Construction Spending

In December, the estimated seasonally adjusted annual rate of public construction spending was $290.0 billion, 0.3% (±1.5%)* higher than the revised November estimate of $289.1 billion. Educational construction was at a seasonally adjusted annual rate of $75.5 billion, 1.6% (±2.1%)* above the revised November estimate of $74.4 billion.

Highway construction was at a seasonally adjusted annual rate of $88.3 billion, 0.3% (±3.5%)* higher than the revised November estimate of $88.0 billion.The value of public construction in 2017 was $279.8 billion, 2.5% (±1.8%) below the $287.0 billion spent in 2016.